Wednesday, December 28, 2022

The Science of Spending Money

The Science of Spending Money:

1) If you invest money, it is one part of the job done

2) Investing for the sake of investing is mindless

3) It just does not add to the happiness quotient

4) The objective of Investing is first Protection ( Security ) - An Assurance that my money will outlive me - (some assurance that there will be spare money when I pass away)

5) This Assurance is then a source of happiness

6) Financial Planning helps you to learn this Science of calculating the cash flow of an individual based on his lifestyle

7) But is this the only happiness that money can provide???

8) Certainly Not

9) So let us look at some other happiness generating spending

10) Spending on Experiences produces happiness as against spending on buying stuff like expensive clothes etc like experiencing African Safar, experiencing World Cup Football, experiencing the journey to Mt Kilimanjaro, experiencing a cruise etc

11) Therefore some Brands position themselves as exclusives like Apple, Mont Blanc, Mercedes where the product is actually an experience

12) Another happiness spending is derived from spending for a good cause. Helping a community or being part of a larger than life cause of alleviating poverty or protecting the environment and so on and so forth

13) Whenever one is wondering whether he should or should not be spending money, he should ask 2 questions of himself

a) Is the spending helping me become a master in my art
b) Is the spending providing me the opportunity of doing something larger than life and solving a            bigger problem of people
c) Will this spending get replenished in a short time based on my passive income and wealth                    creation

14) If the answer to all the above questions is a big Yes, then just press the green button and release the green bucks

15) People who miss the art of spending usually are most confused and unhappy and do things like buying an expensive car in their old age when neither driving pleasure is a need nor is expression of self-image a requirement

16) A lot of people Die Rich and Unfulfilled

**Disclaimer: This Article is only for information Purpose and should not be treated as Financial Advice.

Get started with your investments here: Mutual Funds , Fixed Deposits

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